Indian Sponge Inquiries Active Following Surge in Billet Prices

Domestic sponge market has registered a price rise of INR 200-400/MT D-o-D & up to INR 600/MT W-o-W. The producers' sources mentioned, purchase inquiries is active currently on increase domestic billet prices.

It should be noted that in the couple of days, Indian billet offers move up sharply approximately INR 1,000/MT (USD 15). Hence, with boost in offers, EAF/IF have raise their raw material purchase.

The fresh offers for FeM 78-80 C-DRI are hovering in the range of INR 14,500-16,200/MT (USD 224-252) ex-works. Similarly, post increase billet prices are assessed at INR 24,200-28,200/MT (USD 375-437) ex-works

Major producers Update:

1. Raipur based Integrated plants today offers P-DRI at INR 14,700-14,800/MT which was traded at INR 14,500/MT on 23 May'17. While, offers for DR-CLO grade sponge surge about INR 200/MT to INR 17,000-17,200/MT ex-plant.

2. Rashmi Metaliks in Durgapur has offered FeM 80 P-DRI at INR 14,500/MT with increase prices by INR 100-200/MT against last day.

3. Singhal Steel offered C-DRI (0-20 mm) at INR 15,000/MT ex-plant, Raigarh. The company also sold billet at 25,400-25,500/T FoR Raipur.

4. Jalna, Maharashtra based smelters getting FeM 80 C-DRI lumps offers from Bellary at INR 16,800-17,000/MT FOR & at INR 14,700-14,800/MT from Rourkela, Odisha on ex-plant basis.

5. South India based BMM Ispat further raise prices by INR 300/MT. The fresh offer for FeM 80 P-DRI is reported at INR 15,500/MT ex-plant, Karnataka.

6. Sunvik Steels in Karnataka has increase prices by INR 400/MT; offering FeM 80 & 82 sponge C-DRI lumps are INR 15,800/MT & INR 16,200/MT ex-plant, respectively.

Domestic sponge offers as on 23 May'17

Basic Prices in INR/MT
Source: SteelMint Research